Acquisition meets needs
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A decade ago, Southern Tech was best known (if unfairly)
as the site of an annual "bathtub race." Today, the bathtubs are long gone what
is now known as Southern Polytechnic University in Marietta is one of the rising
stars of the University System of Georgia, and rightly so. Its enrollment is at
3,500 students this year, and among the state's public colleges the average SAT
scores of its incoming freshmen were exceeded only by those of freshmen classes
at Georgia Tech and the University of Georgia.
So it's likely that SPSU's reputation - and opportunities - will only be
enhanced by the pending negotiations announced this week that would result in
its obtaining ownership of the neighboring campus of Life University.
Life is one of the country's best-known chiropractic colleges, but in recent
years has hit several speed bumps that make the proposed purchase financially
appealing. Life lost its accreditation last year, and though it has since
regained it the school's enrollment has plummeted by more than half, to just
1,300.
Under the proposal, Life would
transfer ownership of its 89-acre campus to the nonprofit SPSU Foundation, which
in turn would be responsible for paying off the $30.7 million in bond debt that
Life owes its creditors.
In addition, SPSU would buy the Life University Commons student apartment
complex along Barclay Circle for $3.5 million.
Then, SPSU would lease back to Life about half the buildings on the campus for
continued use as classrooms, etc. Life would have the option to buy the
buildings it uses after a five-year-period. Meanwhile, the campus itself would
be donated by the SPSU Foundation to the state Board of Regents when the $30.7
million acquisition debt is paid off in 2026.
Thus SPSU (which is essentially landlocked in terms of its expansion in any
other direction) would win by gaining land and classroom space to expand its
programs; Life would win by having an onerous debt negated; and state taxpayers
and the Regents, who govern the University System of Georgia, would win by
eventually gaining ownership of an enlarged and enhanced SPSU campus.
"I think it was just a natural thing," said SPSU President Dr. Lisa Rossbacher
on Wednesday. "We were talking about the various issues on our two campuses, and
it just looked like a common way to solve those problems."
Her comments were echoed by Dr. Ben DeSpain, president of Life.
"From our viewpoint, it solves our problems with being buried in debt with a
relatively small number of students."
The acquisition was discussed
by the Regents behind closed doors on Tuesday, with a final vote expected in
June.
We would encourage that board and all others concerned to view the proposal with
an open, optimistic frame of mind, as the proposed purchase seems a highly
practical way of assuring the continued growth of one school and the survival of
the other.